S. 1035Senate110th Congress (2007-2009)In Committee

H-1B and L-1 Visa Fraud and Abuse Prevention Act of 2007

Introduced March 29, 2007

Legislative Activity

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2 earlier actions
SenateIntro Referral Latest Action

Sponsor introductory remarks on measure. (CR S6080-6081)

May 15, 2007

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SenateIntro Referral

Introduced in Senate

March 29, 2007

SenateIntro Referral

Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S4169-4173)

March 29, 2007

SenateIntro Referral

Sponsor introductory remarks on measure. (CR S6080-6081)

May 15, 2007

Floor Debate

23 members

What members said about S. 1035 on the floor

6 Republicans17 Democrats
Dianne Feinstein
Sen. Dianne FeinsteinD-CA · Mar 29, 2007

Mr. President, I rise today to introduce legislation to ensure that the land on the West Los Angeles Veterans Affairs, West LA VA, campus is protected for the use of America's Veterans. The bill…

Richard J. Durbin
Sen. Richard J. DurbinD-IL · May 8, 2007

Mr. President, I ask unanimous consent that I be recognized to speak as in morning business. Mr. President, for a long time in Washington, if you talked about a deadline or a timetable, the response…

Jeff Sessions
Sen. Jeff SessionsR-AL · May 8, 2007

I ask unanimous consent that the order for the quorum call be rescinded. I ask unanimous consent to speak as in morning business. Madam President, I want to take a few moments this afternoon to…

Joseph R. Biden Jr.
Sen. Joseph R. Biden Jr.D-DE · Mar 29, 2007

Mr. President, I would like to take the opportunity today to introduce an important piece of legislation to improve the ability of the Department of Defense and the Department of Veterans Affairs to…

Hillary Rodham Clinton
Sen. Hillary Rodham ClintonD-NY · Mar 29, 2007

Mr. President, today, I am introducing the Heroes at Home Act of 2007, the Restoring Disability Benefits for Injured and Wounded Warriors Act of 2007, and the Protecting Military Family Financial…

Show 8 more
Herb Kohl
Sen. Herb KohlD-WI · Mar 29, 2007

Mr. President, I rise today to introduce the Prevent All Cigarette Trafficking (PACT) Act with Senators Specter, Leahy, Kyl, and Schumer. As the problem of cigarette trafficking continues to worsen,…

Sam Brownback
Sen. Sam BrownbackR-KS · May 8, 2007

I ask unanimous consent to speak as in morning business for up to 15 minutes. Madam President, I just returned from Greensburg, KS, yesterday, where we had a horrific tornado hit late Friday evening.…

Sam Brownback
Sen. Sam BrownbackR-KS · Mar 29, 2007

Mr. President, I rise to speak on bipartisan legislation that Senator Landrieu and myself are introducing, the Human Cloning Prohibition Act. We do this today with 26 other cosponsors. It is…

Sherrod Brown
Sen. Sherrod BrownD-OH · May 8, 2007

Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. Mr. President, our trade policy is fundamentally flawed. Years of wrongheaded trade pacts have sent millions of…

Robert C. Byrd
Sen. Robert C. ByrdD-WV · Mar 29, 2007

Mr. President, West Virginians have always been a deeply spiritual people. Historically, we have stood fast in our devotion to the Creator, even when--or especially when--faced with adversity,…

Russell D. Feingold
Sen. Russell D. FeingoldD-WI · Mar 29, 2007

Mr. President, I am introducing the Crane Conservation Act of 2007. I am very pleased that the Senators from Idaho, Mr. Crapo, Florida, Mr. Martinez, Wisconsin, Mr. Kohl, Maryland, Mr. Cardin, and…

Patty Murray
Sen. Patty MurrayD-WA · May 8, 2007

Mr. President, I thank my colleague from New York. I know my colleague from Illinois, Senator Durbin, will be here shortly as well to talk about a critical juncture at which we are now in terms of…

Olympia J. Snowe
Sen. Olympia J. SnoweR-ME · Mar 29, 2007

Mr. President, I rise today to introdnce the Early Hearing Detection and Intervention Act of 2007. This bill is a companion bill to H.R. 1198, introduced in the House by Representative Lois Capps. I…

Show 11 more
Harry Reid
Sen. Harry ReidD-NV · May 8, 2007

Madam President, I ask unanimous consent that the order for the quorum call be rescinded. Madam President, today is a somber day in Nevada. Last night, a helicopter crashed in Austin, NV, killing all…

Ken Salazar
Sen. Ken SalazarD-CO · Mar 29, 2007

Mr. President, I rise today to make the health of American children and families a top priority with the Healthy Children and Families Act of 2007, which I introduced earlier today with Senator…

Barack Obama
Sen. Barack ObamaD-IL · Mar 29, 2007

Mr. President, next week is National Public Health week--a week to raise awareness about the importance of public health all around this Nation. I applaud the efforts of the American Public Health…

Christopher J. Dodd
Sen. Christopher J. DoddD-CT · Mar 29, 2007

Mr. President, I rise today to introduce the National Liberty Memorial Act along with my colleagues, Senators Charles E. Grassley and Sen. Barack Obama. Representatives Donald M. Payne, William Lacy…

George V. Voinovich
Sen. George V. VoinovichR-OH · Mar 29, 2007

Mr. President, I rise today to introduce three important pieces of legislation that I believe will improve the ability of the Federal Government to recruit and retain a world class workforce: the…

Tom Harkin
Sen. Tom HarkinD-IA · Mar 29, 2007

Mr. President, today I introduce the Promoting Wellness for Individuals with Disabilities Act. This important legislation will help ensure that people with disabilities have the same health and…

Daniel K. Akaka
Sen. Daniel K. AkakaD-HI · Mar 29, 2007

Mr. President, I am delighted to reintroduce the Free Internet Filing Act as the tax filing deadline approaches. The bill requires the Internal Revenue Service (IRS) to provide universal access to…

Edward M. Kennedy
Sen. Edward M. KennedyD-MA · Mar 29, 2007

Mr. President, for far too long, we've acquiesced in a lop-sided economy that benefits wealthy individuals and corporations, but not America's working families. Tens of millions of our men and women…

John Cornyn
Sen. John CornynR-TX · Mar 29, 2007

Mr. President, I rise to introduce the Workforce Health Improvement Program Act of 2007, otherwise known as the WHIP Act. This bipartisan bill I introduce today is the same legislation I introduced…

Charles E. Schumer
Sen. Charles E. SchumerD-NY · May 8, 2007

Mr. President, this week we in Congress are continuing to work toward a solution in Iraq that both supports our troops and changes our mission away from policing a civil war to more narrowly focusing…

Orrin G. Hatch
Sen. Orrin G. HatchR-UT · Mar 29, 2007

Mr. President, with my colleagues, Senator Blanche Lincoln, Senator Gordon Smith and Senator Herb Kohl, I rise to introduce the Elder Justice Act of 2007. Senators Lincoln, Smith, Kohl and I…

Bill Text

Latest available legislative text

Reading Mode
Latest
Introduced in SenateIssued March 29, 2007

II

110th CONGRESS

1st Session

S. 1035

IN THE SENATE OF THE UNITED STATES

March 29, 2007

Mr. Durbin (for himself and Mr. Grassley) introduced the following bill; which was read twice and referred to the Committee on the Judiciary

A BILL

To amend the Immigration and Nationality Act to reduce fraud and abuse in certain visa programs for aliens working temporarily in the United States.

1.

Short title; table of contents

(a)

Short title

This Act may be cited as the H–1B and L–1 Visa Fraud and Abuse Prevention Act of 2007.

(b)

Table of contents

The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents.

Sec. 2. H–1B employer requirements.

Sec. 3. H–1B government authority and requirements.

Sec. 4. L–1 visa fraud and abuse protections.

Sec. 5. Whistleblower protections.

Sec. 6. Additional Department of Labor employees.

2.

H–1B employer requirements

(a)

Application of nondisplacement and good faith recruitment requirements to all H–1B employers

(1)

Amendments

Section 212(n) of the Immigration and Nationality Act (8 U.S.C. 1182(n)) is amended—

(A)

in paragraph (1)—

(i)

in subparagraph (E);

(I)

in clause (i), by striking (E)(i) In the case of an application described in clause (ii), the and inserting (E) The; and

(II)

by striking clause (ii);

(ii)

in subparagraph (F), by striking In the case of and all that follows through where— and inserting the following: The employer will not place the nonimmigrant with another employer if—; and

(iii)

in subparagraph (G), by striking In the case of an application described in subparagraph (E)(ii), subject and inserting Subject;

(B)

in paragraph (2)—

(i)

in subparagraph (E), by striking If an H–1B-dependent employer and inserting If an employer that employs H–1B nonimmigrants; and

(ii)

in subparagraph (F), by striking The preceding sentence shall apply to an employer regardless of whether or not the employer is an H–1B-dependent employer.; and

(C)

by striking paragraph (3).

(2)

Effective date

The amendments made by paragraph (1) shall apply to applications filed on or after the date of the enactment of this Act.

(b)

Nondisplacement requirement

(1)

Extending time period for nondisplacement

Section 212(n) of such Act, as amended by subsection (a), is further amended—

(A)

in paragraph (1)—

(i)

in subparagraph (E), by striking 90 days each place it appears and inserting 180 days;

(ii)

in subparagraph (F)(ii), by striking 90 days each place it appears and inserting 180 days; and

(B)

in paragraph (2)(C)(iii), by striking 90 days each place it appears and inserting 180 days.

(2)

Effective date

The amendments made by paragraph (1)—

(A)

shall apply to applications filed on or after the date of the enactment of this Act; and

(B)

shall not apply to displacements for periods occurring more than 90 days before such date.

(c)

Public listing of available positions

(1)

Listing of available positions

Section 212(n)(1)(C) of such Act is amended—

(A)

in clause (i), by striking (i) has provided and inserting the following:

(ii)
(I)

has provided

;

(B)

by redesignating clause (ii) as subclause (II); and

(C)

by inserting before clause (ii), as redesignated, the following:

(i)

has advertised the job availability on the list described in paragraph (6), for at least 30 calendar days; and

.

(2)

List maintained by the department of labor

Section 212(n) of such Act, as amended by this section, is further amended by adding at the end the following:

(6)
(A)

Not later than 90 days after the date of the enactment of this paragraph, the Secretary of Labor shall establish a list of available jobs, which shall be publicly accessible without charge—

(i)

on a website maintained by the Department of Labor, which website shall be searchable by—

(I)

the name, city, State, and zip code of the employer;

(II)

the date on which the job is expected to begin;

(III)

the title and description of the job; and

(IV)

the State and city (or county) at which the work will be performed; and

(ii)

at each 1-stop center created under the Workforce Investment Act of 1998 (Public Law 105–220).

(B)

Each available job advertised on the list shall include—

(i)

the employer’s full legal name;

(ii)

the address of the employer’s principal place of business;

(iii)

the employer’s city, State and zip code;

(iv)

the employer’s Federal Employer Identification Number;

(v)

the phone number, including area code and extension, as appropriate, of the hiring official or other designated official of the employer;

(vi)

the e-mail address, if available, of the hiring official or other designated official of the employer;

(vii)

the wage rate to be paid for the position and, if the wage rate in the offer is expressed as a range, the bottom of the wage range;

(viii)

whether the rate of pay is expressed on an annual, monthly, biweekly, weekly, or hourly basis;

(ix)

a statement of the expected hours per week that the job will require;

(x)

the date on which the job is expected to begin;

(xi)

the date on which the job is expected to end, if applicable;

(xii)

the number of persons expected to be employed for the job;

(xiii)

the job title;

(xiv)

the job description;

(xv)

the city and State of the physical location at which the work will be performed; and

(xvi)

a description of a process by which a United States worker may submit an application to be considered for the job.

(C)

The Secretary of Labor may charge a nominal filing fee to employers who advertise available jobs on the list established under this paragraph to cover expenses for establishing and administering the requirements under this paragraph.

(D)

The Secretary may promulgate rules, after notice and a period for comment—

(i)

to carry out the requirements of this paragraph; and

(ii)

that require employers to provide other information in order to advertise available jobs on the list.

.

(3)

Effective date

Paragraph (1) shall take effect for applications filed at least 30 days after the creation of the list described in paragraph (2).

(d)

H–1B nonimmigrants not admitted for jobs advertised or offered only to H–1B nonimmigrants

Section 212(n)(1) of such Act, as amended by this section, is further amended—

(1)

by inserting after subparagraph (G) the following:

(H)
(i)

The employer has not advertised the available jobs specified in the application in an advertisement that states or indicates that—

(I)

the job or jobs are only available to persons who are or who may become H–1B nonimmigrants; or

(II)

persons who are or who may become H–1B nonimmigrants shall receive priority or a preference in the hiring process.

(ii)

The employer has not only recruited persons who are, or who may become, H–1B nonimmigrants to fill the job or jobs.

; and

(2)

in the undesignated paragraph at the end, by striking The employer and inserting the following:

(K)

The employer

.

(e)

Prohibition of outplacement

(1)

In general

Section 212(n) of such Act, as amended by this section, is further amended—

(A)

in paragraph (1), by amending subparagraph (F) to read as follows:

(F)

The employer shall not place, outsource, lease, or otherwise contract for the placement of an alien admitted or provided status as an H–1B nonimmigrant with another employer;

and

(B)

in paragraph (2), by striking subparagraph (E).

(2)

Effective date

The amendments made by paragraph (1) shall apply to applications filed on or after the date of the enactment of this Act.

(f)

Limit on percentage of H–1B employees

Section 212(n)(1) of such Act, as amended by this section, is further amended by inserting after subparagraph (H), as added by subsection (d)(1), the following:

(I)

If the employer employs not less than 50 employees in the United States, not more than 50 percent of such employees are H–1B nonimmigrants.

.

(g)

Wage determination

(1)

Change in minimum wages

Section 212(n)(1) of such Act, as amended by this section, is further amended—

(A)

by amending subparagraph (A) to read as follows:

(A)

The employer—

(i)

is offering and will offer, during the period of authorized employment, to aliens admitted or provided status as an H–1B nonimmigrant, wages, based on the best information available at the time the application is filed, which are not less than the highest of—

(I)

the locally determined prevailing wage level for the occupational classification in the area of employment;

(II)

the median average wage for all workers in the occupational classification in the area of employment; or

(III)

the median wage for skill level 2 in the occupational classification found in the most recent Occupational Employment Statistics survey; and

(ii)

will provide working conditions for such a nonimmigrant that will not adversely affect the working conditions of workers similarly employed.

; and

(B)

in subparagraph (D), by inserting the wage determination methodology used under subparagraph (A)(i), after shall contain.

(2)

Provision of W–2 forms

Section 212(n)(1) of such Act is amended by inserting after subparagraph (I), as added by subsection (f), the following:

(J)

If the employer, in such previous period as the Secretary shall specify, employed 1 or more H–1B nonimmigrants, the employer shall submit to the Secretary the Internal Revenue Service Form W–2 Wage and Tax Statement filed by the employer with respect to such nonimmigrants for such period.

.

(3)

Effective date

The amendments made by this subsection shall apply to applications filed on or after the date of the enactment of this Act.

(h)

Immigration documents

Section 204 of such Act (8 U.S.C. 1154) is amended by adding at the end the following:

(l)

Employer To share all immigration paperwork exchanged with Federal agencies

Not later than 10 working days after receiving a written request from a former, current, or future employee or beneficiary, an employer shall provide the employee or beneficiary with the original (or a certified copy of the original) of all petitions, notices, and other written communication exchanged between the employer and the Department of Labor, the Department of Homeland Security, or any other Federal agency that is related to an immigrant or nonimmigrant petition filed by the employer for the employee or beneficiary.

.

3.

H–1B government authority and requirements

(a)

Safeguards against fraud and misrepresentation in application review process

Section 212(n)(1)(K) of the Immigration and Nationality Act, as redesignated by section 2(d)(2), is amended—

(1)

by inserting and through the Department of Labor’s website, without charge. after D.C.;

(2)

by inserting , clear indicators of fraud, misrepresentation of material fact, after completeness;

(3)

by striking or obviously inaccurate and inserting , presents clear indicators of fraud or misrepresentation of material fact, or is obviously inaccurate;

(4)

by striking within 7 days of and inserting not later than 14 days after; and

(5)

by adding at the end the following: “If the Secretary’s review of an application identifies clear indicators of fraud or misrepresentation of material fact, the Secretary may conduct an investigation and hearing under paragraph (2).

(b)

Investigations by department of labor

Section 212(n)(2) of such Act is amended—

(1)

in subparagraph (A)—

(A)

by striking 12 months and inserting 24 months; and

(B)

by striking The Secretary shall conduct and all that follows and inserting Upon the receipt of such a complaint, the Secretary may initiate an investigation to determine if such a failure or misrepresentation has occurred.;

(2)

in subparagraph (C)(i)—

(A)

by striking a condition of paragraph (1)(B), (1)(E), or (1)(F) and inserting a condition under subparagraph (B), (C)(i), (E), (F), (H), (I), or (J) of paragraph (1); and

(B)

by striking (1)(C) and inserting (1)(C)(ii);

(3)

in subparagraph (G)—

(A)

in clause (i), by striking if the Secretary and all that follows and inserting with regard to the employer’s compliance with the requirements of this subsection.;

(B)

in clause (ii), by striking and whose identity and all that follows through failure or failures. and inserting the Secretary of Labor may conduct an investigation into the employer’s compliance with the requirements of this subsection.;

(C)

in clause (iii), by striking the last sentence;

(D)

by striking clauses (iv) and (v);

(E)

by redesignating clauses (vi), (vii), and (viii) as clauses (iv), (v), and (vi), respectively;

(F)

in clause (iv), as redesignated, by striking meet a condition described in clause (ii), unless the Secretary of Labor receives the information not later than 12 months and inserting comply with the requirements under this subsection, unless the Secretary of Labor receives the information not later than 24 months;

(G)

by amending clause (v), as redesignated, to read as follows:

(v)

The Secretary of Labor shall provide notice to an employer of the intent to conduct an investigation. The notice shall be provided in such a manner, and shall contain sufficient detail, to permit the employer to respond to the allegations before an investigation is commenced. The Secretary is not required to comply with this clause if the Secretary determines that such compliance would interfere with an effort by the Secretary to investigate or secure compliance by the employer with the requirements of this subsection. A determination by the Secretary under this clause shall not be subject to judicial review.

.

(H)

in clause (vi), as redesignated, by striking An investigation and all that follows through the determination. and inserting If the Secretary of Labor, after an investigation under clause (i) or (ii), determines that a reasonable basis exists to make a finding that the employer has failed to comply with the requirements under this subsection, the Secretary shall provide interested parties with notice of such determination and an opportunity for a hearing in accordance with section 556 of title 5, United States Code, not later than 120 days after the date of such determination.; and

(I)

by adding at the end the following:

(vii)

If the Secretary of Labor, after a hearing, finds a reasonable basis to believe that the employer has violated the requirements under this subsection, the Secretary may impose a penalty under subparagraph (C).

; and

(4)

by striking subparagraph (H).

(c)

Information sharing between department of labor and department of homeland security

Section 212(n)(2) of such Act, as amended by this section, is further amended by inserting after subparagraph (G) the following:

(H)

The Director of United States Citizenship and Immigration Services shall provide the Secretary of Labor with any information contained in the materials submitted by H–1B employers as part of the adjudication process that indicates that the employer is not complying with H–1B visa program requirements. The Secretary may initiate and conduct an investigation and hearing under this paragraph after receiving information of noncompliance under this subparagraph.

.

(d)

Audits

Section 212(n)(2)(A) of such Act, as amended by this section, is further amended by adding at the end the following: The Secretary may conduct surveys of the degree to which employers comply with the requirements under this subsection and may conduct annual compliance audits of employers that employ H–1B nonimmigrants. The Secretary shall conduct annual compliance audits of not less than 1 percent of the employers that employ H–1B nonimmigrants during the applicable calendar year. The Secretary shall conduct annual compliance audits of each employer with more than 100 employees who work in the United States if more than 15 percent of such employees are H–1B nonimmigrants..

(e)

Penalties

Section 212(n)(2)(C) of such Act, as amended by this section, is further amended—

(1)

in clause (i)(I), by striking $1,000 and inserting $2,000;

(2)

in clause (ii)(I), by striking $5,000 and inserting $10,000; and

(3)

in clause (vi)(III), by striking $1,000 and inserting $2,000.

(f)

Information provided to H–1B nonimmigrants upon visa issuance

Section 212(n) of such Act, as amended by this section, is further amended by inserting after paragraph (2) the following:

(3)
(A)

Upon issuing an H–1B visa to an applicant outside the United States, the issuing office shall provide the applicant with—

(i)

a brochure outlining the employer’s obligations and the employee’s rights under Federal law, including labor and wage protections;

(ii)

the contact information for Federal agencies that can offer more information or assistance in clarifying employer obligations and workers’ rights; and

(iii)

a copy of the employer’s H–1B application for the position that the H–1B nonimmigrant has been issued the visa to fill.

(B)

Upon the issuance of an H–1B visa to an alien inside the United States, the officer of the Department of Homeland Security shall provide the applicant with—

(i)

a brochure outlining the employer’s obligations and the employee’s rights under Federal law, including labor and wage protections;

(ii)

the contact information for Federal agencies that can offer more information or assistance in clarifying employer's obligations and workers' rights; and

(iii)

a copy of the employer's H–1B application for the position that the H–1B nonimmigrant has been issued the visa to fill.

.

4.

L–1 visa fraud and abuse protections

(a)

In general

Section 214(c)(2) of the Immigration and Nationality Act (8 U.S.C. 1184(c)(2)) is amended—

(1)

by striking Attorney General each place it appears and inserting Secretary of Homeland Security;

(2)

in subparagraph (E), by striking In the case of an alien spouse admitted under section 101(a)(15)(L), who and inserting Except as provided in subparagraph (H), if an alien spouse admitted under section 101(a)(15)(L); and

(3)

by adding at the end the following:

(G)
(i)

If the beneficiary of a petition under this subsection is coming to the United States to open, or be employed in, a new facility, the petition may be approved for up to 12 months only if the employer operating the new facility has—

(I)

a business plan;

(II)

sufficient physical premises to carry out the proposed business activities; and

(III)

the financial ability to commence doing business immediately upon the approval of the petition.

(ii)

An extension of the approval period under clause (i) may not be granted until the importing employer submits an application to the Secretary of Homeland Security that contains—

(I)

evidence that the importing employer meets the requirements of this subsection;

(II)

evidence that the beneficiary meets the requirements under section 101(a)(15)(L);

(III)

a statement summarizing the original petition;

(IV)

evidence that the importing employer has fully complied with the business plan submitted under clause (i)(I);

(V)

evidence of the truthfulness of any representations made in connection with the filing of the original petition;

(VI)

evidence that the importing employer, during the preceding 12 months, has been doing business at the new facility through regular, systematic, and continuous provision of goods or services, or has otherwise been taking commercially reasonable steps to establish the new facility as a commercial enterprise;

(VII)

a statement of the duties the beneficiary has performed at the new facility during the preceding 12 months and the duties the beneficiary will perform at the new facility during the extension period approved under this clause;

(VIII)

a statement describing the staffing at the new facility, including the number of employees and the types of positions held by such employees;

(IX)

evidence of wages paid to employees;

(X)

evidence of the financial status of the new facility; and

(XI)

any other evidence or data prescribed by the Secretary.

(iii)

Notwithstanding subclauses (I) through (VI) of clause (ii), and subject to the maximum period of authorized admission set forth in subparagraph (D), the Secretary of Homeland Security may approve a petition subsequently filed on behalf of the beneficiary to continue employment at the facility described in this subsection for a period beyond the initially granted 12-month period if the importing employer demonstrates that the failure to satisfy any of the requirements described in those subclauses was directly caused by extraordinary circumstances beyond the control of the importing employer.

(iv)

For purposes of determining the eligibility of an alien for classification under section 101(a)(15)(L), the Secretary of Homeland Security shall work cooperatively with the Secretary of State to verify a company or facility's existence in the United States and abroad.

.

(b)

Restriction on blanket petitions

Section 214(c)(2)(A) of such Act is amended to read as follows:

(2)
(A)

The Secretary of Homeland Security may not permit the use of blanket petitions to import aliens as nonimmigrants under section 101(a)(15)(L).

.

(c)

Prohibition on outplacement

Section 214(c)(2) of such Act, as amended by this section, is further amended by adding at the end the following:

(H)

An employer who imports 1 or more aliens as nonimmigrants described in section 101(a)(15)(L) shall not place, outsource, lease, or otherwise contract for the placement of an alien admitted or provided status as an L–1 nonimmigrant with another employer.

.

(d)

Investigations and audits by department of Homeland Security

(1)

Department of homeland security investigations

Section 214(c)(2) of such Act, as amended by this section, is further amended by adding at the end the following:

(I)
(i)

The Secretary of Homeland Security may initiate an investigation of any employer that employs nonimmigrants described in section 101(a)(15)(L) with regard to the employer’s compliance with the requirements of this subsection.

(ii)

If the Secretary of Homeland Security receives specific credible information from a source who is likely to have knowledge of an employer’s practices, employment conditions, or compliance with the requirements under this subsection, the Secretary may conduct an investigation into the employer’s compliance with the requirements of this subsection. The Secretary may withhold the identity of the source from the employer, and the source's identity shall not be subject to disclosure under section 552 of title 5.

(iii)

The Secretary of Homeland Security shall establish a procedure for any person desiring to provide to the Secretary of Homeland Security information described in clause (ii) that may be used, in whole or in part, as the basis for the commencement of an investigation described in such clause, to provide the information in writing on a form developed and provided by the Secretary of Homeland Security and completed by or on behalf of the person.

(iv)

No investigation described in clause (ii) (or hearing described in clause (vi) based on such investigation) may be conducted with respect to information about a failure to comply with the requirements under this subsection, unless the Secretary of Homeland Security receives the information not later than 24 months after the date of the alleged failure.

(v)

Before commencing an investigation of an employer under clause (i) or (ii), the Secretary of Homeland Security shall provide notice to the employer of the intent to conduct such investigation. The notice shall be provided in such a manner, and shall contain sufficient detail, to permit the employer to respond to the allegations before an investigation is commenced. The Secretary is not required to comply with this clause if the Secretary determines that to do so would interfere with an effort by the Secretary to investigate or secure compliance by the employer with the requirements of this subsection. There shall be no judicial review of a determination by the Secretary under this clause.

(vi)

If the Secretary of Homeland Security, after an investigation under clause (i) or (ii), determines that a reasonable basis exists to make a finding that the employer has failed to comply with the requirements under this subsection, the Secretary shall provide interested parties with notice of such determination and an opportunity for a hearing in accordance with section 556 of title 5, United States Code, not later than 120 days after the date of such determination. If such a hearing is requested, the Secretary shall make a finding concerning the matter by not later than 120 days after the date of the hearing.

(vii)

If the Secretary of Homeland Security, after a hearing, finds a reasonable basis to believe that the employer has violated the requirements under this subsection, the Secretary may impose a penalty under section 214(c)(2)(J).

.

(2)

Audits

Section 214(c)(2)(I) of such Act, as added by paragraph (1), is amended by adding at the end the following:

(viii)

The Secretary of Homeland Security may conduct surveys of the degree to which employers comply with the requirements under this section and may conduct annual compliance audits of employers that employ H–1B nonimmigrants. The Secretary shall conduct annual compliance audits of not less than 1 percent of the employers that employ nonimmigrants described in section 101(a)(15)(L) during the applicable calendar year. The Secretary shall conduct annual compliance audits of each employer with more than 100 employees who work in the United States if more than 15 percent of such employees are nonimmigrants described in section 101(a)(15)(L).

.

(3)

Reporting requirement

Section 214(c)(8) of such Act is amended by inserting (L), after (H),.

(e)

Penalties

Section 214(c)(2) of such Act, as amended by this section, is further amended by adding at the end the following:

(J)
(i)

If the Secretary of Homeland Security finds, after notice and an opportunity for a hearing, a failure by an employer to meet a condition under subparagraph (F), (G), (H), (I), or (K) or a misrepresentation of material fact in a petition to employ 1 or more aliens as nonimmigrants described in section 101(a)(15)(L)—

(I)

the Secretary of Homeland Security may impose such other administrative remedies (including civil monetary penalties in an amount not to exceed $2,000 per violation) as the Secretary determines to be appropriate; and

(II)

the Secretary of Homeland Security may not, during a period of at least 1 year, approve a petition for that employer to employ 1 or more aliens as such nonimmigrants.

(ii)

If the Secretary of Homeland Security finds, after notice and an opportunity for a hearing, a willful failure by an employer to meet a condition under subparagraph (F), (G), (H), (I), or (K) or a misrepresentation of material fact in a petition to employ 1 or more aliens as nonimmigrants described in section 101(a)(15)(L)—

(I)

the Secretary of Homeland Security may impose such other administrative remedies (including civil monetary penalties in an amount not to exceed $10,000 per violation) as the Secretary determines to be appropriate; and

(II)

the Secretary of Homeland Security may not, during a period of at least 2 years, approve a petition filed for that employer to employ 1 or more aliens as such nonimmigrants.

(iii)

If the Secretary of Homeland Security finds, after notice and an opportunity for a hearing, a willful failure by an employer to meet a condition under subparagraph (L)(i)—

(I)

the Secretary of Homeland Security may impose such other administrative remedies (including civil monetary penalties in an amount not to exceed $10,000 per violation) as the Secretary determines to be appropriate; and

(II)

the employer shall be liable to employees harmed for lost wages and benefits.

.

(f)

Wage determination

(1)

Change in minimum wages

Section 214(c)(2) of such Act, as amended by this section, is further amended by adding at the end the following:

(K)
(i)

An employer that employs a nonimmigrant described in section 101(a)(15)(L) shall—

(I)

offer such nonimmigrant, during the period of authorized employment, wages, based on the best information available at the time the application is filed, which are not less than the highest of—

(aa)

the locally determined prevailing wage level for the occupational classification in the area of employment;

(bb)

the median average wage for all workers in the occupational classification in the area of employment; or

(cc)

the median wage for skill level 2 in the occupational classification found in the most recent Occupational Employment Statistics survey; and

(II)

provide working conditions for such nonimmigrant that will not adversely affect the working conditions of workers similarly employed.

(ii)

If an employer, in such previous period specified by the Secretary of Homeland Security, employed 1 or more L–1 nonimmigrants, the employer shall provide to the Secretary of Homeland Security the Internal Revenue Service Form W–2 Wage and Tax Statement filed by the employer with respect to such nonimmigrants for such period.

(iii)

It is a failure to meet a condition under this subparagraph for an employer, who has filed a petition to import 1 or more aliens as nonimmigrants described in section 101(a)(15)(L), to—

(I)

require such a nonimmigrant to pay a penalty for ceasing employment with the employer before a date mutually agreed to by the nonimmigrant and the employer; or

(II)

fail to offer to such a nonimmigrant, during the nonimmigrant’s period of authorized employment, on the same basis, and in accordance with the same criteria, as the employer offers to United States workers, benefits and eligibility for benefits, including—

(aa)

the opportunity to participate in health, life, disability, and other insurance plans;

(bb)

the opportunity to participate in retirement and savings plans; and

(cc)

cash bonuses and noncash compensation, such as stock options (whether or not based on performance).

(iv)

The Secretary of Homeland Security shall determine whether a required payment under clause (iii)(I) is a penalty (and not liquidated damages) pursuant to relevant State law.

.

(2)

Effective date

The amendments made by this subsection shall apply to applications filed on or after the date of the enactment of this Act.

5.

Whistleblower protections

(a)

H–1B whistleblower protections

Section 212(n)(2)(C)(iv) of the Immigration and Nationality Act (8 U.S.C. 1182(n)(2)(C)(iv)) is amended—

(1)

by inserting take, fail to take, or threaten to take or fail to take, a personnel action, or before to intimidate; and

(2)

by adding at the end the following: An employer that violates this clause shall be liable to the employees harmed by such violation for lost wages and benefits..

(b)

L–1 whistleblower protections

Section 214(c)(2) of such Act, as amended by section 4, is further amended by adding at the end the following:

(L)
(i)

It is a violation of this subparagraph for an employer who has filed a petition to import 1 or more aliens as nonimmigrants described in section 101(a)(15)(L) to take, fail to take, or threaten to take or fail to take, a personnel action, or to intimidate, threaten, restrain, coerce, blacklist, discharge, or discriminate in any other manner against an employee because the employee—

(I)

has disclosed information that the employee reasonably believes evidences a violation of this subsection, or any rule or regulation pertaining to this subsection; or

(II)

cooperates or seeks to cooperate with the requirements of this subsection, or any rule or regulation pertaining to this subsection.

(ii)

An employer that violates this subparagraph shall be liable to the employees harmed by such violation for lost wages and benefits.

(iii)

In this subparagraph, the term employee includes—

(I)

a current employee;

(II)

a former employee; and

(III)

an applicant for employment.

.

6.

Additional Department of Labor employees

(a)

In general

The Secretary of Labor is authorized to hire 200 additional employees to administer, oversee, investigate, and enforce programs involving H–1B nonimmigrant workers.

(b)

Authorization of appropriations

There are authorized to be appropriated such sums as may be necessary to carry out this section.